Stellantis NV plans to close a van factory in Luton, England, in a rebuke of the government mandating more electric vehicle sales.

European auto-maker Stellantis said on Tuesday it planned to shut its Vauxhall van factory in Luton, southern England, putting more than 1,000 jobs at risk.

Stellantis said it intends to transfer operations from its Luton plant to its Ellesmere Port site in Cheshire, England as the industry grapples with waning demand for electric vehicles and fierce competition from Chinese peers.

Stellantis plans to close its Luton van factory, shifting production to Ellesmere Port amidst UK’s stringent zero-emission targets, sparking industry concern.

European auto-maker Stellantis said on Tuesday it planned to shut its Vauxhall van factory in Luton, southern England, putting more than 1,000 jobs at risk. The company, which also owns the Peugeot, Citroën,

Stellantis plans to shut its Vauxhall van factory in England, putting more than 1,000 jobs at risk as it joins rival automakers in scaling back operations in a difficult trading environment.

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world Vauxhall's owner Stellantis said it is planning to shut the Luton site next April.

Stellantis has announced its intention to close their Luton plant in the United Kingdom. The facility was slated to begin building mid-size electric vans next spring, but the automaker wants to consolidate production at Ellesmere Port.